Left Menu
Development News Edition

Oil producing nations to asses impact of production cuts in April


Oil producing nations to asses impact of production cuts in April
OPEC and some non-OPEC producers decided to cut output by 1.2 million barrels per day for six months from January after world prices shed a quarter of their value in just a few weeks. (Image Credit: Twitter)

Oil producers who agreed last week to trim production to boost prices will meet in April to review the impact and sign a long-term pact, the UAE minister said Wednesday.

OPEC and some non-OPEC producers decided to cut output by 1.2 million barrels per day for six months from January after world prices shed a quarter of their value in just a few weeks.

Prices currently hover around $60 a barrel, down from more than $85 a barrel in early October in the face of fears of weaker demand and an increase in supplies.

"In April, we will have a meeting to review the decision," United Arab Emirates Energy Minister Suhail al-Mazrouei told reporters on the sidelines of a conference in Dubai.

Mazrouei said that national oil company ADNOC has already informed clients that it will cut production by 2.5 per cent from January. The UAE, OPEC's fourth largest producer, has been pumping around 3.0 million bpd.

He said that the producers decided to meet in April instead of June "to allow us to take the required decision," before the six months are up.

The minister said the cuts will help restore balance to the world market in 2019.

"We expected there will be a slowdown in demand for oil and accordingly decided to cut production," Mazrouei said.

The producers will also sign a long-term agreement in April to formalise the cooperation between OPEC and non-OPEC parties to the cuts, the minister said.

He said the alliance with Russia and other non-cartel producers has made the Organisation of Petroleum Exporting Countries stronger and more effective.

"OPEC is no longer the 30 million barrel (per day) group ... With OPEC, non-OPEC including Russia, we are now talking about 50 million barrels or half the world's production," Mazrouei said.

(With inputs from agencies.)


TRENDING

OPINION/BLOG/INTERVIEW

Hyderabad Encounter: Time to review modern judiciary and restore people’s confidence

Its probably for the first time in the history of independent India, the parliamentarians, chief ministers and ministers in the Union and State governments are openly supporting an encounter. This indicates the people from top to bottom hav...

What happens to your outstanding loans if the bank falls?

... ...

Time for a change! Innovations to stop the growing plastic pollution

As the planet is drowning in plastic pollution, many new innovative approaches and solutions have emerged to effectively deal with the menace....

How to avoid fake universities and fishing bait like Farmington

As education sharks are roaming around to prey, we present a guide on how to mitigate hunters and reach to a genuine universityinstitute. In this era of commercialization of education, the fake universities and economic frauds in educationa...

Videos

Latest News

Golf-Stenson wins World Challenge as Woods fades to fourth

Henrik Stenson almost made albatross at the 15th hole en route to a one-shot victory over Jon Rahm at the Hero World Challenge on Saturday as tournament host Tiger Woods faded down the stretch in the Bahamas. Swede Stenson hit a mighty appr...

Russia, Belarus closer to resolving oil, gas issues, says Moscow

Russia and Belarus have come closer to resolving their differences on oil and gas supplies, Russias economy minister said on Saturday after talks between the two countries. Russian President Vladimir Putin and his Belarusian counterpart Ale...

Microsoft discovers 44 million accounts using breached passwords

In a major security issue, 44 million Microsoft accounts were discovered using breached user names and passwords.As PC Mag reports, Microsofts threat research team scanned all accounts between January and March this year and compared them t...

Delhi Police arrests two persons for strangulating a girl

The Delhi Police on Saturday solved a case pertaining to the murder of a girl in Delhis Paschim Vihar area within 24 hours and arrested two persons in connection with the crime incident. Body of a girl belonging to Delhis Madipur village wa...

Give Feedback